Rwandan coffee exporters supplying the European market have been urged to comply with new regulations requiring proof that coffee trees were not planted on land cleared of forests after December 31, 2020.
The directive, known as the European Union Deforestation Regulation (EUDR), applies to all coffee, cocoa, and soy exported to EU member states.
Exporters must now provide certified documentation confirming that their crops were grown in compliance with the regulation.
Implementation of the measure, originally scheduled for December 2024, has been postponed by one year and will now take effect in December 2025.
The EU is among Rwanda’s biggest buyers of coffee. Switzerland leads the pack, purchasing 3,710 tons worth US$18.4 million in the 2023/2024 fiscal year, representing 23 percent of Rwanda’s total exports.
Other notable buyers include Sweden with 856 tons worth US$4 million, Italy with 898 tons worth US$3.4 million, Germany with 655 tons worth 3.4 million dollars, and Finland with 730 tons worth US$3.1 million.
While the EU says the regulation will help curb global deforestation and strengthen traceability, some Rwandan exporters warn of added costs and logistical hurdles.
Wellars Karangwa, head of Muhondo Coffee, described the regulation as tough to implement.
His company, which farms coffee on 15 hectares and employs 1,800 workers, has already incurred additional expenses revising export documentation, costing over 7,000 dollars or about 10 million Rwandan francs.
“To comply, we will need to use GPS and satellite technology to verify coffee farm locations. That could cost us no less than two million francs,” Karangwa said.
“Exports to Europe have already reduced because payments are not as prompt as before, but since they pay in strong currency, I still want to adjust to their requirements.”
In contrast, Rutaganda Gaston, owner of Rwamatamu Coffee, said compliance has been easier for his company, calling the EU’s move a positive step.
He noted that beyond improving trade transparency, it also protects the environment. About 60 percent of his company’s coffee exports go to Europe.
Researcher John Rebero criticized the EU for introducing the rules without engaging African trade partners, but argued that Rwanda is better positioned to adapt because of its strong environmental and sustainable farming policies.
He urged exporters to also look beyond Europe, pointing to China as an emerging premium market.
“Rwanda and Africa must scale up production and quality, so that buyers in China, Pakistan, India, and elsewhere are not left with shortages or poor-quality coffee,” he said.
The National Agricultural Export Development Board (NAEB) has pledged support for farmers and exporters to meet EU requirements.
CEO Claude Bizimana said Rwanda is conducting a National Coffee Census to record all coffee trees, their locations, and production status.
NAEB is also partnering with BKTechouse, the technology branch of Bank of Kigali, to implement a digital traceability tool dubbed the Smart Kungahara System, which will track coffee from planting to export.
Farmers are further being trained on market-specific standards to ensure Rwanda’s coffee remains competitive.
After all, a key and major point to note is that none of the countries making these demands grows coffee. Go figigre.
